‘No Tax on Overtime’ Isn’t All It Seems

New York Times: “Despite Mr. Trump’s ‘no tax’ branding, overtime pay is still subject to taxes, including payroll taxes and, potentially, state taxes. Some people who work overtime won’t be able to claim the tax break at all. Only Americans who, according to the Fair Labor Standards Act, must be paid time and a half for working more than 40 hours in a week can claim it. And even then, only a portion of the overtime pay — the additional ‘half’ in time and a half — is exempt from the federal income tax.”